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General Category => Off the Record => Topic started by: alfred russel on May 20, 2009, 12:08:19 PM

Title: To what extent are cigarette taxes being dodged?
Post by: alfred russel on May 20, 2009, 12:08:19 PM
Question for the smokers out there. A pack of cigarettes is pushing $10 here, are people switching to the internet? A quick search found Marlboro's for about $15 a carton, but I don't know if those sites are legit. I assume they don't pay taxes.
Title: Re: To what extent are cigarette taxes being dodged?
Post by: Syt on May 20, 2009, 12:11:20 PM
Plenty people here in Austria "import" from Ex-Yugo (in our student dorm Kosovars would go from door to door with cartons).
Title: Re: To what extent are cigarette taxes being dodged?
Post by: crazy canuck on May 20, 2009, 12:12:55 PM
Buying from Indian reserves is also a notoriously easy way to get around the tax in Canada.
Title: Re: To what extent are cigarette taxes being dodged?
Post by: DisturbedPervert on May 20, 2009, 12:28:37 PM
$10 a pack?  Damn, that's a lot, that used to be luxury cigarette prices. 
Title: Re: To what extent are cigarette taxes being dodged?
Post by: derspiess on May 20, 2009, 01:02:36 PM
IIRC, Ed used to bootleg cigarettes from KY to Ohio.  Not as much a reason to do that now with KY's tax rising from $.30 to $1.00 a pack.

I would have to think there would be a good option somehow to buy them from Indian reservations via mail order.  Anything that deprives the gubmint of its sin tax revenue is fine by me :)
Title: Re: To what extent are cigarette taxes being dodged?
Post by: MadImmortalMan on May 20, 2009, 01:44:52 PM
Most of the smokers I know buy them from the Indian tribes. No taxes.
Title: Re: To what extent are cigarette taxes being dodged?
Post by: Valmy on May 20, 2009, 01:52:45 PM
Quote from: MadImmortalMan on May 20, 2009, 01:44:52 PM
Most of the smokers I know buy them from the Indian tribes. No taxes.

Ironically there is only one tiny Indian reservation in all of Texas.  Smokers here = screwed.
Title: Re: To what extent are cigarette taxes being dodged?
Post by: Ed Anger on May 20, 2009, 01:56:50 PM
Quote from: derspiess on May 20, 2009, 01:02:36 PM
IIRC, Ed used to bootleg cigarettes from KY to Ohio.  Not as much a reason to do that now with KY's tax rising from $.30 to $1.00 a pack.



Long retired from that.

The big thing smokers are doing now is rolling their own.
Title: Re: To what extent are cigarette taxes being dodged?
Post by: Strix on May 20, 2009, 02:08:29 PM
Quote from: Valmy on May 20, 2009, 01:52:45 PM
Quote from: MadImmortalMan on May 20, 2009, 01:44:52 PM
Most of the smokers I know buy them from the Indian tribes. No taxes.

Ironically there is only one tiny Indian reservation in all of Texas.  Smokers here = screwed.

NY repealed the tax exempt status for Indian cigarettes here. I guess they could smuggle them in from other states.
Title: Re: To what extent are cigarette taxes being dodged?
Post by: alfred russel on May 20, 2009, 02:27:00 PM
But what about mail order cigarettes? A quick search finds places like www.verycheapcigarettes.com, though I have no idea how legit those are.
Title: Re: To what extent are cigarette taxes being dodged?
Post by: Vince on May 20, 2009, 02:28:19 PM
Quote from: Strix on May 20, 2009, 02:08:29 PM
Quote from: Valmy on May 20, 2009, 01:52:45 PM
Quote from: MadImmortalMan on May 20, 2009, 01:44:52 PM
Most of the smokers I know buy them from the Indian tribes. No taxes.

Ironically there is only one tiny Indian reservation in all of Texas.  Smokers here = screwed.

NY repealed the tax exempt status for Indian cigarettes here. I guess they could smuggle them in from other states.

I think it was because Turning Stone Casino was making a killing.  Plus they and the Senecas started selling cartons online. 
Title: Re: To what extent are cigarette taxes being dodged?
Post by: saskganesh on May 21, 2009, 07:34:38 AM
$15-$25 carton from the Six Nations.

as per the online discounters, I suspect they are tax dodging, much like the poker sites, with offshore virtual business addresses for admin, banking and billing. everything else about them is domestic. 
Title: Re: To what extent are cigarette taxes being dodged?
Post by: Caliga on May 21, 2009, 07:38:16 AM
When we drove up to Niagara Falls when I was a kid, my dad made us stop on the Onondaga Reservation so he could buy like 20 cartons of cigarettes.  :rolleyes:

They had Playboys there and I tried to flip through them but this old Indian lady caught me and ratted me out to my mom.  :ultra:
Title: Re: To what extent are cigarette taxes being dodged?
Post by: Ed Anger on May 21, 2009, 08:02:59 AM
Quote from: Caliga on May 21, 2009, 07:38:16 AM
When we drove up to Niagara Falls when I was a kid, my dad made us stop on the Onondaga Reservation so he could buy like 20 cartons of cigarettes.  :rolleyes:

They had Playboys there and I tried to flip through them but this old Indian lady caught me and ratted me out to my mom.  :ultra:

You should have distracted her with some beads.
Title: Re: To what extent are cigarette taxes being dodged?
Post by: Caliga on May 21, 2009, 08:08:30 AM
Quote from: Ed Anger on May 21, 2009, 08:02:59 AM
You should have distracted her with some beads.
I wanted to give her a "nice, warm" blanket.  :menace:
Title: Re: To what extent are cigarette taxes being dodged?
Post by: grumbler on May 21, 2009, 11:14:34 AM
Quote from: alfred russel on May 20, 2009, 02:27:00 PM
But what about mail order cigarettes? A quick search finds places like www.verycheapcigarettes.com, though I have no idea how legit those are.
I have no idea how legit their smokes are, either.  The broken Engrish on this site makes me suspect these are some kind of knock-off smokes with fake labels.
Title: Re: To what extent are cigarette taxes being dodged?
Post by: Norgy on May 21, 2009, 11:56:53 AM
We have seen your future already here in Norway.
I still fondly remember just having to pay 10 USD for a pack. It's between 11 and 14 USD nowadays. And you can only smoke in reservations in the mountains after being deloused.

Fortunately for you Americans, you don't have Albanians, Estonians, Lithuanians and assorted other newly-liberated/integrated into the wonderful world of entrepreneurial capitalism all too eager to supply the market of nicotine-craving Norwegians with few qualms about supporting organised crime. Unfortunately for you, you still have the Mob.
Title: Re: To what extent are cigarette taxes being dodged?
Post by: ulmont on May 21, 2009, 11:57:05 AM
Quote from: grumbler on May 21, 2009, 11:14:34 AM
I have no idea how legit their smokes are, either.  The broken Engrish on this site makes me suspect these are some kind of knock-off smokes with fake labels.

Gray market, if you're lucky.
Title: Re: To what extent are cigarette taxes being dodged?
Post by: Strix on May 21, 2009, 03:31:02 PM
Quote from: Vince on May 20, 2009, 02:28:19 PM
Quote from: Strix on May 20, 2009, 02:08:29 PM
Quote from: Valmy on May 20, 2009, 01:52:45 PM
Quote from: MadImmortalMan on May 20, 2009, 01:44:52 PM
Most of the smokers I know buy them from the Indian tribes. No taxes.

Ironically there is only one tiny Indian reservation in all of Texas.  Smokers here = screwed.

NY repealed the tax exempt status for Indian cigarettes here. I guess they could smuggle them in from other states.

I think it was because Turning Stone Casino was making a killing.  Plus they and the Senecas started selling cartons online.

Probably the politicians got their hands on some figures showing how much in taxes they were losing out on.

On the plus side, it killed the cigarette black market in Rochester. Our Vietnamese population had to go back to selling just marijuana.